What is the difference between a lien and a mortgage?

A lien and a mortgage are two different concepts related to residential real estate law in Delaware. A lien is a legal notice attached to a property that is given to the owner when a debt is owed and unpaid. If the debt is not paid, the creditor can take legal action to keep the lender in possession of the property until the debt is paid off. Liens are typically used as a warning to potential buyers and lenders, and may remain in place until the debt is cleared. A mortgage, on the other hand, is an agreement between a borrower and a lender in which the borrower agrees to pay the lender in return for the lender’s promise to provide the loan. Mortgages are typically secured by the property itself, meaning that if the borrower fails to repay the loan, the lender can take legal action to take possession of the property. In short, a lien is an indication of unpaid debt, while a mortgage is an agreement between a lender and a borrower, secured by the property.

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What is the difference between a lien and a mortgage?

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